Associate Bonus Watch: Firm Offers 'Maximum Bonus Amounts' That Match The Market
The latest bonus match includes some curious language.
The last time we checked in on Covington & Burling’s compensation, it was trying to stem the tide of associate salary increases across the legal landscape. In this, it spectacularly failed. So when it came to bonus season, would the firm follow the herd or try again to buck the trend?
Well, it appears that the firm is marching in lockstep with the rest of the Biglaw. A memo sent to associates last week laid out their bonus schedule. By now you know the scale, but as a reminder:
Class of 2016 — $15,000 (pro-rated)
Class of 2015 — $15,000
Class of 2014 — $25,000
Class of 2013 — $50,000
Class of 2012 — $65,000
Class of 2011 — $80,000
Class of 2010 — $90,000
Class of 2009+ — $100,000
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These bonuses apply to all U.S. associates, which is a new policy after years of setting different scales in NY and D.C. The world (of Biglaw compensation) is flat these days.
The memo also refers to these as “maximum bonus amounts,” a phrase that Covington has used in the past, which is probably just a synonym for the usual “good standing” language that other firms include (in Covington’s case, presumably meeting the firm’s “workload benchmark”). So associates are advised to keep their wits about them in case this is an effort to make a show of strength to those of us in the media and then slight associates when it comes to handing out the checks in January (when attention has died down). One hopes that Covington wouldn’t play this kind of game, but we’ve heard of other firms trying it, and this language certainly sets up that possibility, so it pays to remain vigilant.
UPDATE: Some associates are also concerned about the vague timing in the memo. The memo indicates that bonuses will be paid by end of January, which is a far cry from the olden days when the firm paid in December or even recent years when it paid in mid-January.
(Full memo available on the next page if you want to read this phrase in its full context…)
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Please help us help you when it comes to bonus news at other firms. As soon as your firm’s bonus memo comes out, please email it to us (subject line: “[Firm Name] Bonus”) or text us (646-820-8477). Please include the memo if available. You can take a photo of the memo and send it via text or email if you don’t want to forward the original PDF or Word file.
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Earlier: Biglaw Firm Changes Course On Associate Compensation
Associate Bonus Watch: New York Bonuses Go To Washington
Joe Patrice is an editor at Above the Law and co-host of Thinking Like A Lawyer. Feel free to email any tips, questions, or comments. Follow him on Twitter if you’re interested in law, politics, and a healthy dose of college sports news.
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